**FRASERS CENTREPOINT LIMITED SGD SUBORDINATED PERP NC 5-UPDATE 1**
- New Frasers Centrepoint Limited (FCL) SGD Perp announced
- Deal is significantly anchored by TCC Prosperity Limited
- Initial price guidance: Low 5%
- Issue Size: Benchmark
- Structure: Perp NC 5, reset in year 5, step up 100bp in year 10, dividend pusher & stopper, deferred distributions are cumulative and compounding
- Timing: This week's business, as early as today
Initial Yield guidance at cost Low 5%
Expected Issue Size SGD Benchmark
Denomination SGD 250k x 250k
Timing Books Open
Comments To follow
Step-up on Year 10 & every 5 yrs then-after (Coupon-reset)
Year 5: prevailing SGD 5yr SOR + Initial Spread
Year 10: prevailing SGD 5yr SOR + Initial Spread + 100bps
Year 15: prevailing SGD 5yr SOR + Initial Spread + 100bps
..etc...
Dividend pusher & stopper, deferred distributions are cumulative and compounding
Risk Rating TBC
LV TBC
Issuer: FCL Treasury Pte. Ltd.
Guarantor: Frasers Centrepoint Limited
Issue: SGD Subordinated Perpetual Securities
Ratings: Unrated
Format: Regulation S only and S274/275 of SFA, SG; Issuance off S$3 Billion Multicurrency Debt Issuance Programme
Issue Size: Benchmark
Tenor: Perpetual NC5
Ranking: Subordinated; Senior only to Issuer's ordinary shares
Call Option: [ ] 2020 & at every distribution date thereafter at par
Distribution: Fixed. Reset in Year 5 based on prevailing SGD 5Y SOR plus the Initial Spread & every 5 years thereafter
Step up: 100bps in Year 10
Distribution Payment: Semi-annually in arrear, actual/365 (fixed)
Distribution Deferral: At issuer's discretion. Any deferred Distributions are cumulative and on a compounding basis
Dividend Pusher: Yes, with 6 month look back period
Dividend stopper: Yes
Change of Control: Securities may be redeemed in whole, but not in part, at par upon Change of Control, otherwise Distribution steps up by 100bps
Other Redemption: At par under taxation reasons, accounting reasons, tax deductibility reasons, minimal outstanding amount reasons
Listing: SGX-ST
Details: SGD250K/Multicurrency Debt Issuance Programme/Singapore Law/CDP
Joint Global Coordinators: DBS Bank Ltd. and Maybank Kim Eng
Joint Bookrunners: DBS Bank Ltd., Maybank Kim Eng, ANZ, Deutsche Bank, OCBC Bank, Standard Chartered Bank and UOB
B&D: DBS Bank Ltd.
Timing: This week's business, as early as today
Comps:
FCLSP4.88 Perp NC 5 callable 09/19: 100.60, 4.74%, SOR + 285 bps
FCLSP3.7 04/19: 100.50, 3.57%, SOR + 176 bps
Overview:
FCL is an established international real estate company, domiciled in Singapore. It has core businesses property development, investment and management of commercial property, hospitality and property trusts, spanning Singapore, Malaysia, Australia, China, New Zealand, Thailand, Vietnam, the United Kingdom and the Middle East.
As of 31 Aug 2014, FCL is 88% owned by TCC Group controlled by Mr. Charoen Sirivadhanabhakdi, which are demonstrative of their support to FCL by granting the latter a ROFR over any opportunity to develop, manage or invest in TCC Group’s real estate assets outside of Thailand. There is minimal conflict of interest between FCL and the TCC Group, with the latter having businesses in other industries. FCL was listed on SGX-ST in 9 Jan 2014, and as of 15 Sep 2014, it has a market capitalization of S$4.9bn (US$3.9bn equivalent).
(02-03-2015, 10:35 AM)Contrarian Wrote: [ -> ]> FRASERS Centrepoint (FCL) has launched its first perpetual bond issuance, which is also the biggest cash-raising exercise of its type by
> a non-bank firm in Singapore since 2012.
> The developer priced the $600 million perpetual capital securities on Thursday, with orders coming in at over $3.5 billion.
Another Perpetual offering news?
